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as for hospitals, the states regulate the building of hospitals.
In Michigan you have to show there is a need for the hospital and the amount of patients who need a new hospital to get the OK to build one.
This is what the libertarians are saying.
The food industry example is still relevant because although they use cheap labor those savings are being passed on to the customer, even though the shareholders come first the food is still not being price gouged, because of competition.
The cable bills only started going up because of a monopoly, if people had cancelled their cable the prices would have come down.
This is why cell phone plans are extremely cheap in India, they are not willing to pay much for cell phone service.
The market reacts to what people are willing to pay,at that point Americans were willing to pay a lot for cable so that's what they got, it doesn't sound fair but if Americans had just gone without for a month prices would have come down.
When gas was expensive people started using mopeds and eventually the price did come back down.
When meat is expensive Americans eat peanut butter instead, this leads the market to put a lot of effort into keeping meat cheap.
So within the food industry there is competition.
If more hospitals were built millions of people would go to the doctor if it was cheap, so the medical industry would get many more customers.
At the moment it's impossible to lower prices because of scarcity.
Last edited by slenkar on 09 May 2016, 5:07 pm, edited 3 times in total.